Statoil has secured approval from the Norwegian Petroleum Directorate (NPD) to start production from the Gina Krog field in the North Sea.
The company operating the field intends to start production from June this year. The field includes a production facility above the seabed and an oil storage ship in water depths of 110m-120m.
All oil recovered from the well will be transported through buoy loaders, while the rich gas will be sent to the Sleipner A platform for final processing. Gas for injection will be imported from natural gas transportation system Zeepipe 2A (Gassled).
Statoil plans to tie the field to a joint solution with power supply from shore for the Utsira High.
Gina Krog is expected to contain recoverable reserves of nearly 16.8 million cubic metre of oil, 11.8 billion cubic metres gas, and 3.2 million tonnes of natural gas liquid (NGL).
The project involves an investment of around Nkr30.9bn ($3.71bn), which is within the range of uncertainty as listed in the plan for development and operation (PDO) submitted by Statoil.
Statoil holds a 58.7% stake in the project while the remaining interest is owned by other partners, including Total, KUFPEC in Kuwait, Poland's PGNiG and Aker BP in Norway, reported Reuters.
Statoil operates in production licences 029 B, 029 C, 048 and 303.
Image: Gina Krog is developed with a seabed production facility and a storage ship for oil. Photo: courtesy of Norwegian Petroleum Directorate / Statoil.